Exam Question 7 of 35 Select the best answer. XYZ, an equal three-person partnership, has cash of $12,000 and securities of $15,000 (FMV) with an adjusted basis of $3,000 to the partnership. Assume that Z sells her interest to W for $9,000. If the new partnership subsequently sells the securities at their FMV of $15,000, what must partner W include in taxable income if a Section 754 election is in effect? O A. SO 0 B. $4,000 O C. $6,000 O D. $12,000 Exit & 100% Complete Exam, Question Q7